End to Taiwan ties nears as Honduras foreign minister goes to China

TAIPEI - The Honduran Foreign Minister is travelling to China to “promote” the establishment of diplomatic ties, an official said, signalling that the end is most likely near for the country’s decades-long relations with Taiwan. 

At stake is China’s growing footprint in Central America, once a steadfast base for Taiwan and where the United States is worried about Beijing’s expanding influence in its backyard. 

Honduran President Xiomara Castro tweeted last week that her government would seek to build relations with China. 

“Foreign Minister Eduardo Enrique Reina, on instructions from President Xiomara Castro, travelled to China on Wednesday to promote efforts for the establishment of diplomatic relations,” presidential press secretary Ivis Alvarado said. 

China’s Foreign Ministry spokesman Wang Wenbin said Beijing welcomed the Honduran government’s positive attitude towards building relations, and was willing to develop them “on the basis of equality and mutual respect”.

Taiwan’s Foreign Ministry said it had summoned the Honduran ambassador to express its “strong dissatisfaction” at the trip, which “seriously harmed the feelings of our government and people”. 

A source with direct knowledge of the situation told Reuters that Mr Reina and his delegation left for Beijing from Panama, accompanied by Chinese officials. The source declined to be named because of the sensitivity of the situation. 

A senior Taipei-based diplomatic source told Reuters that Mr Reina’s trip to China meant that an announcement on forging relations was probably near. 

“The die is cast,” the diplomat said, speaking on condition of anonymity as they were not authorised to speak to the media. 

The move will leave Taiwan with diplomatic relations with only 13 countries. 

Honduras denied on Wednesday that it had demanded US$2.5 billion (S$3.3 billion) in aid from Taiwan before its announcement to seek to establish relations with China, instead saying that the country had repeatedly requested that Taiwan buy Honduran public debt.

Mr Reina said that the US$2.5 billion figure was “not a donation”, but rather “a negotiated refinancing mechanism”.

Mr Wang called remarks about Honduras making the demand prior to its China announcement “absolutely preposterous and groundless”. 

Speaking on Thursday to reporters at Parliament, Taiwan Foreign Minister Joseph Wu said the situation with Honduras was “not very good”.

“The other side demanded a high price,” he added, when asked about the US$2.5 billion demand, though he did not directly confirm it, saying only that “the facts will be out”.

Mr Reina said last week that Honduras’ decision was partly because the Central American country was “up to its neck” in financial challenges and debt – including US$600 million it owes Taiwan.

Mr Wu, answering a lawmaker’s question, said Honduras’ demands were beyond what Taiwan could do and that it was not just Taiwan who was owed money.

“We have said to them previously, the debt they owe us can be readjusted,” he said.

China – which regards Taiwan as a renegade province to be reunified, by force if necessary – has involved itself in the issue, Mr Wu said, without giving details.

“The marks of Chinese involvement are very obvious,” he said.

But Taiwan will not engage in dollar diplomacy with China, added Mr Wu.

The Honduras crisis is happening ahead of a visit starting next week by Taiwan’s President Tsai Ing-wen to Guatemala and Belize, which remain allies.

Ms Tsai is stopping in New York on the way there and Los Angeles on the way back, where she is expected to meet US House Speaker Kevin McCarthy.

Mr Wu, who was asked to confirm that meeting, said it was still in the process of being arranged.

“Beijing originally planned to act in the second half of the year but, because of President Tsai’s visit, it brought its plans forward,” said the source with direct knowledge of the situation, referring to getting Honduras to switch sides. REUTERS